Benchmark Brent crude slipped on Tuesday to its lowest in five years, dropping below $66 a barrel after plunging more than 4 percent the day before on worries of a swelling supply glut.
Oil prices are likely to remain around $65 a barrel for the next six or seven months, the chief of Kuwait's national oil company said on Monday, in the latest sign that Gulf producers are ready to ride out plunging prices.
Brent crude for January delivery hit an intraday low of $65.33 on Tuesday, its lowest since September 2009. It was trading down 77 cents at $65.42 by 0457 GMT (11:57 p.m. EST). "Although talks of oil reaching its bottom are more rampant, we fail to see a reversal coming without stronger fundamentals," said Daniel Ang of Phillip Futures in a note, adding that Brent crude for February delivery could fall as low as $60.
Asian markets were mostly in the red on Tuesday while the US dollar began to edge higher once again, aided by a media report the Federal Reserve might take a rhetorical step toward tightening at its meeting next week. ?bdnews24.com